Expert offers advice to Mass. Gen Z-ers relying on parents for financial help

BOSTON — The high cost of living is hitting Generation Z hard, and it’s costing mom and dad.

A recent Bank of America report found almost half of Gen Z adults, ages 18 to 27, are getting financial assistance from their parents.

Many of the Gen Z-ers surveyed for the report said they’re pushing back major milestones, such as buying a house, saving for retirement, or starting to invest.

It’s a dilemma that a number of Millennials, up into their early 40s, also find themselves in.

“Our parents, thankfully, are willing to help. But if you don’t have parents who can help, what do you do?,” questioned South End resident Tiffany Munroe.

The monthly shuffle of spending to survive in Boston is a juggling act that Munroe says is tough to keep up with without a little bit of help and a dual income.

“I’m just working, and my husband is working, so it definitely helps to have a dual income. Outside of that, it’s like, impossible,” she said.

The Bank of America survey found that 46% of Gen Z-ers rely on financial assistance from their parents and family.

52% of the more than 1,000 Gen Z-ers polled for the survey said they don’t make enough money to live the life they want.

“I would be remiss to say that we didn’t help them out a fair amount,” said Wellesley resident Carey Rappaport.

Rappaport believes parents who can pitch in are doing so to help their adult kids get on a path to independence.

“I did help my son out in buying a condo in Somerville,” he said. “It was twice as much as we paid for a full house and three-quarters of an acre in Wellesley.”

Boston 25 News asked a financial expert about what steps people can take to try to break the cycle in the long run.

“You need to make sure that you can afford the lifestyle that you are trying to live. Not so much the one that you want, but the one that you’re living right now,” said Alisa Kim O’Neil, Co-Chief Planning Officer at Boston Financial Management.

Kim O’Neil recommends starting with small steps like cutting back on eating out, food delivery services, and subscriptions or streaming services.

“There’s a cost to having so many subscriptions to all these different streaming services that you feel like you have to have. But does it really make sense?” questioned Kim O’Neil. “If you’re not willing to give a little and change, the world is not going to change for you, unfortunately.”

She said targeting what sacrifices can be made and setting attainable goals are important first steps in carving out a budget to reach the goal of self-sufficiency.

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